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Labour Standards Frequently Asked Questions (FAQ's) |
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Benefit Eligibility top
Hours
of Work
top The overtime provisions
do not apply to agricultural employees. Day of Rest Employees must be granted
24 consecutive hours off work in each week of employment. Where possible, the
day off should be a Sunday. There are exceptions in the case of: (a) employees
in undertakings excluded by regulation. (The present regulation provides for
the exclusion of employees covered by collective agreements, employees
employed in a remote area and crew members of ferry boats). (b) employees of
employers exempted by the Minister of Labour, and (c) employees
engaged in emergency work. Meal Break Except where regulation
provides otherwise, employees are entitled to a one hour rest period
immediately following each 5 consecutive working hours. (The present
regulation provides for the exclusion of employees covered by collective
agreements or written contracts of service as per Section 24(2)). Q. What is a work week? A. A work week is a period of 7 continuous
days used by the employer or, if the employer doesn't designate a week, a
period of 7 continuous days beginning after midnight on a Saturday. Q. What is the current minimum
wage? A.
Effective April 1, 2008,
the minimum wage increased to $8.00 per hour. Effective January 1, 2009, the
minimum wage will rise by 50 cents to $8.50 per hour, to $9 per hour on July
1, 2009, to $9.50 per hour on January 1, 2010, and will reach $10 per hour
on July 1, 2010. Q. When is overtime to be paid
and what is the overtime rate? A.
Overtime is to be paid on
any hours worked in excess of 40 per week. The minimum overtime rate is one
half times the minimum wage rate. Effective April 1, 2008, the minimum wage
was $8.00 per hour, therefore the minimum overtime wage then became $12.00
per hour – based on 1 ½ times $8.00. Effective January 1, 2009, the minimum
overtime wage will become $12.75 per hour – based on 1 ½ times $8.50.
Effective July 1, 2009, the minimum overtime wage will become $13.50 per
hour – based on 1 ½ times $9.00. On January 1, 2010, the minimum overtime
wage will be $14.25 per hour – based on 1 ½ times $9.50 and on July 1, 2010,
the minimum overtime wage will be $15.00 per hour – based on 1 ½ times
$10.00. Q. Can overtime be
"banked"? A. An employee may receive 1.5 hours
of paid time off work for each hour of overtime worked instead of overtime
pay when an employee and employer agree to do so. The following conditions
also apply: ·
the time off shall be taken within three months of the date the
overtime is earned unless the employer and employee agree to extend the time
period; ·
payment or time off must be finalized within 12 months of the
date the overtime is earned. If the employment ends
before the time off is taken, the employer shall pay the employee for all
overtime hours worked within seven days of termination. Q. If co-workers want
to switch shifts, what impact may this have on overtime payments? A. If an employer approves a written
request from one or more employees and this change results in affected
employee(s) working more than 40 hours in a week, the employer is not
required to pay overtime to the employees involved. Q. What happens if an employee is
called in to work and isn't required to work at least 3 hours? A. The employer shall either let the
employee work at least 3 hours or pay the employee for any unworked portion of the 3 hours at the minimum wage rate
or the minimum overtime wage rate, whichever is appropriate. Q. What is an employee
who is scheduled to work 2 hours a day entitled to in the form of wages? A. An employee scheduled to work 2
hours must be paid only for the 2 hours worked. Q. Can the employee be
scheduled to work 3 separate two-hour shifts in the same day? A. Yes. That employee would be
entitled to 6 hours pay for such scheduled shifts. Q. If an employee
reports for a previously scheduled 8 - hour shift and finds the shift
cancelled, what payment are they entitled to receive? A. If they report for any shift of 3
hours or more and it is cancelled, they must receive payment for 3 hours. Q. Is the employee entitled to
receive a day off each week? A. Employees are entitled to receive
at least 24 consecutive hours off during each week. Q. How many hours a day (24 hour
period) can an employee be required to work? A. Except in the case of an
emergency that constitutes an imminent hazard to life or property, an
employer shall permit an employee to take and an employee shall take not less
than 8 consecutive hours off work in each unbroken 24 hour period of
employment. These 8 hours is in addition to the breaks required during the
work day (see next question). Q. How many breaks or meal
periods are the employees entitled to receive? A. Subject to some exceptions in the
Regulations, an employer shall permit an employee to take an unbroken rest
period of 1 hour following each consecutive 5 hours of employment. Different
rest periods may be established through a written employer/employee contract
or a collective agreement. Unless the employer maintains the right of
direction and control during a rest period, the employee does not have to be
paid during his/her break. Q. Are employees
required to be paid for attending meetings or duties that cannot be completed
during their "normal" work day? A. Employees are required to be paid
for time they spend at the workplace at the employers
request. Examples of when employees should be paid are: ·
Attending a meeting that may be scheduled before the work day begins
or at the end of the work day and requires mandatory attendance. ·
Staying beyond the scheduled shift to conclude business such as
closing cash, general cleaning, locking up, etc. ·
Attending training requested by the employer. The employer must pay
employees not less frequently than half monthly. All wages owing must be paid
within 7 days of the end of the pay period. The employer must pay the
wages at the place of employment during regular working hours; or at the
employee's normal residence by mail or personal delivery; or by deposit into
the employee's bank account. These monies must be paid in lawful currency of In the event that a
business closes while wages remain outstanding, affected employees should
contact the Labour Standards Division immediately. Q. Can deductions be made from
employee's wages for cash shortages, bad cheques,
charge cards, uniforms, etc.? A. The employer cannot deduct these
charges from wages. Q. If an employee damages an
employer's product, property, or has an outstanding account with the
employer, can the employer recover his loss by deducting from the employee's
wages. A. No, the employer can only deduct
sums established at law. Therefore, if an employee owes the employer for any
of the above, the employer will have to take alternate measures to recover
the sums that are owed. Payroll Administrative/Records top Q. Are employers required to issue a statement of earnings each pay day? A. Yes, and it should contain the
following information: ·
the start/end dates of the pay period ·
the rates of wages and number of hours worked at each rate during the
period ·
the gross amount of wages earned for the pay period ·
the amount and purpose of each deduction made from the gross wages ·
the net amount of wages to which the employee is entitled for the pay
period. ·
if applicable, the amount of vacation pay included in the wages for the
pay period. Q. What can be deducted from
wages? A. Income Tax, Canadian Pension Plan
contributions, E.I. contributions, overpayment of wages, deductions for a
group benefit plan that the employee is participating in, savings plan
deductions, overpayment on unused portions of travel advances and rental
charges when the employee occupies the employer’s premises, as well as sums
established at law. Q. Record of Employment, T-4
Slips & Employment Insurance Questions. A. All questions concerning Record
of Employment (separation slip/lay-off slip) should be directed to the
nearest Employment Insurance Centre, Human Resources Development Canada. All questions about T-4
slips and Employment Insurance contributions should be directed to the
nearest Canada Revenue Agency - CRA. Q. What payroll records must be
kept by an employer? A. Every employer must keep payroll
records for each employee showing the following: ·
name, address and birth date of the employee ·
date of the start of the employment and the dates of a temporary
lay-off or termination ·
rate of wages, number of hours worked in each day, the amount paid
showing all deductions made from wages paid ·
the date of annual vacation and the amount of vacation pay paid ·
the dates on which each 24 hour rest period is given. The employer is required
to keep these records for a period of 4 years from the date of the last
entry. Q. Should an employee share a tip
with an employer, a manager or supervisor of the employee or an employer's
representative? A. No, tips or gratuities are the
property of the employee to whom or for whom they are given. Q. Where a surcharge or other
charge is paid instead of a tip or gratuity does this amount belong to the
employee? A. Yes, the amount paid shall be
considered to be a tip or gratuity and is the property of the employee to
whom or for whom it is given. Q. May an employer make
deductions from a surcharge or other charge which is paid instead of a tip or
gratuity, or where the amount of the tip or gratuity is itemized on the
record of a credit card or debit card payment? A. Yes, the employer may deduct an
amount required to be deducted from income by an Act of the province or of To qualify for an annual
vacation, an employee must have been employed with the employer for at least
12 months and have worked at least 90% of the available working hours. For
employees with less than 15 years of consecutive service with the same
employer, the vacation must be of at least 2 weeks duration and the employee
may choose to take it in either 1 two-week period or 2 one-week periods. The
employee must be permitted to take this vacation within 10 months of the time
they qualify for it. The employer must give the employee at least two weeks
written notice of when the vacation is to be taken. Vacation pay is
calculated at 4% of the employee's gross wages for the period in respect of
which the vacation is being given. This payment must be made at least one day
before the vacation commences. If an employee does not qualify for an annual
vacation, there is still an entitlement to vacation pay - provided the
employee has been employed by the employer for at least 5 work days. An
employee who qualifies for vacation pay must be paid the vacation pay within
1 week of the termination of employment. An employee who has been
continuously employed with the same employer for 15 years is entitled to 3
weeks annual vacation. Vacation pay after 15 years continuous employment is
calculated at 6 percent of the total wages for the period in respect of which
the vacation is being given. Q. Who gets Vacation pay? A. Any employee who has been
employed for 5 work days or more. Q. How many weeks of vacation
does an employee receive? A. Two weeks, if the employee has
worked at least 90% of the available working hours in a continuous 12 month
period. After 15 years with the same employer, the vacation time is 3 weeks. Q. When must an employee receive
vacation pay? A. At least one day before going on
vacation or within 1 week of termination. Vacation pay may also be paid each
pay period as long as the employee is advised and the amount of vacation pay
is indicated in the employer's payroll. Q. How is vacation pay
calculated? A. Vacation pay is calculated as 4%
of gross wages, including commissions and overtime. Vacation pay is
calculated as 6% of gross earnings for employees with 15 years continuous
employment with the same employer. Q. Are there any deductions to be
taken from vacation pay? A. Vacation pay is subject to all
statutory deductions, i.e.; Employment Insurance premiums, Income Tax and
Canada Pension Plan contributions. Q. Do employees, while on
vacation, receive their regular wages plus their vacation pay? A. Employees are entitled to receive
only their 4% (or 6%) vacation pay before going on vacation. Q. When can vacation be taken by
employees? A. The employer shall give the
employee at least 2 weeks written notice of when vacation is to commence and
it can be taken in one unbroken 2 week period or 2 unbroken periods of 1
week. An employee entitled to 3 weeks vacation shall be permitted to take the
vacation in one unbroken period of 3 weeks, in 2 unbroken periods of 2 weeks
and 1 week respectively or in 3 unbroken periods of one week. Q. Can the employer
cancel an employee’s vacation if it was previously agreed to? A. The employer may cancel an
employee’s vacation but must compensate the employee for reasonable expenses
that cannot be recovered by the employee as a result of the vacation being
cancelled. Q. How many public
holidays are there? A. There are 6 public holidays
throughout the year. These are: New Years’
Day, Good Friday, Memorial Day (Canada Day), Labour
Day, Remembrance Day, and Christmas Day. Additional days may be
proclaimed by the Lieutenant Governor-in-Council. Different holidays may be
set by collective agreements in substitution for those days designated under
the Act. Q. If an employee
works on a paid public holiday, what are they entitled to receive? A. Where an employee works on a paid
public holiday, they are entitled to receive wages at twice their regular
rate for the hours worked on the holiday or an additional day off with pay
within 30 days or an additional vacation day. Employees do not have to meet
any qualifiers to receive this benefit and the benefit they receive is one of
their choice. Q. What if the
employee works a lesser number of hours on the paid public holiday than they
would normally have worked? A. If an employee is required to
work less hours on the holiday than they would normally work, the employer is
required to pay the employee at their regular rate of pay for the actual
hours worked plus a regular days pay. Q. What entitlement to
paid public holiday wages, if any, does the employee have who does not work
on the paid holiday have? A. If the employee has: ·
been employed by the employer for at least 30 calendar days prior to
the paid holiday ·
worked the shift they were scheduled to work by their employer
prior to and after the paid holiday. he/she is entitled to a days pay for the
paid public holiday even though no work was performed on the day. Q. How is an employee
to be compensated if a public holiday falls on a day the employee would
normally be scheduled off work? A. The employee shall not be
required to work either on the first working day immediately after the public
holiday or another day mutually agreed to by the employee and employer and
this day shall be a paid day for the employee. Q. How is the employee
who works shifts of varying hours and who does not work on the paid public
holiday to be paid? A. First, establish whether or not
the employee is eligible for paid public holiday benefits by finding out
whether or not the employee has: ·
been employed by the employer for at least 30 days prior to the paid
holiday, and ·
worked his/her scheduled shifts prior to and after the paid
holiday. If these criteria are
met, the employee has the right to be paid for the paid public holiday. To establish the rate at
which the employee should be paid requires multiplying the employee’s hourly
rate of pay by the average number of hours worked in a day by the employee in
the 3 weeks immediately preceding the holiday. Q.
Do the
notice of termination provisions of The Labour
Standards Act apply to collective agreements and written contracts of
service? A. Yes, but only if the collective
agreement or the written contract of service is silent on notice, or if the
period in the agreement or contract that is required to be given is not the
same for the employer and employee. Q. Does notice of
termination of employment have to given in writing? A. Notice of termination has to be
in writing. Q. May an employer
terminate the employment of an employee without notice? A. Not ordinarily. An employer or
employee may only terminate employment with written notice of termination
subject to the exceptions noted in the next answer. Q. When may an
employer terminate employment without giving notice? A. Notice of Termination is not
required in the following circumstances: ·
Where the employee has:
·
Where the employer pays the equivalent normal wages, including
overtime earnings, in lieu of notice (one to six weeks pay, depending upon
the employees length of employment). ·
For a lay-off of one week or less. ·
The employee is employed for a firm non-renewable term or for a
specific task where the term or task does not exceed 12 months and
termination doesn't occur before the term or task is completed. ·
Where the employer has to terminate as a result of an unforeseen
economic or climatic conditions beyond the foreseeable control of the
employer, or as a result of a major breakdown or destruction of plant
machinery or equipment. ·
Where a person has been employed for less than 3 months. Q. What is the period
of written notice that has to be given by the employer and the employee? A. During the first 3 months of
employment, no notice of termination is required to be given by either party. For employment from 3
months up to 2 years, 1 week’s written notice is required to be given by
either party. After 2 years but less
than 5 years employment, 2 weeks notice must be given by either party. After 5 years but less
than 10 years employment, 3 weeks notice must be given by either party. After 10 years but less
than 15 years employment, 4 weeks notice must be given by either party. After 15 years
employment, 6 weeks notice must be given by either party. Q. May an employee
quit without giving the required notice? A. There are circumstances when an
employee may quit without giving notice but before an employee takes that
action, he/she should contact the Labour Standards
Division. Some examples of
circumstances that would justify an employee terminating employment without
notice are: ·
If the employer has:
·
The employee allows the employer to keep wages in lieu of notice. ·
The person has been employed for less than 3 months. Q. May the employer
hold back wages when an employee terminates employment without giving notice? A. Only if the employee gives
consent to the employer allowing the employer to withhold the correct amount
of wages in lieu of notice. If the employee does not agree, then the employer
is required to deposit the amount of the wages in question into the Unpaid
Wages Account and the Director of Labour Standards
will determine the issue in accordance with the Labour
Standards Act. Q. Is notice of
termination required in the construction industry? A. No, notice is not required either
by employee or employer. Q. Does notice have to
be given if the employer is only temporarily laying
off an employee? A. Yes, notice of temporary lay-off
has to be given, either one to six weeks notice depending on the length of
service of the employee. No notice is required, however, if the lay-off is
for less than one week. Q. What is a temporary
lay-off? A. It is a period of lay off up to
13 weeks in duration in any 20 consecutive week period. Q. If an employee is
temporarily laid-off and the lay off exceeds 13 weeks in a consecutive 20
week period, what is the employees status under the Act? A. At the expiry of 13 weeks of
"lay-off", the employment is terminated. Q. What additional
notice or pay in lieu of notice is the employee entitled to in these
circumstances? A. At the time of the original
"lay-off" the employee should have received one to six weeks
notice. The temporary lay-off provisions do not provide employees with
additional notice periods. Q. What is a group
termination of employment? A. A group termination is the
termination of the employment of 50 or more employees in a four (4) week
period. Q. Are notice
requirements different in a group termination of employment situation? A. The Act requires written notice
of intention to terminate be given to each employee. The periods of notice
are: ·
eight weeks for 50 to fewer than 200 employees ·
twelve weeks for 200 to fewer than 500 employees ·
sixteen weeks for 500 or more employees Written notice must also
be given to the Minister of Labour immediately
after serving of notice on the employees. In that notice the Minister must be
made aware of the number of employees involved, the period of notice involved
and the reason for the mass termination of employment. If notice is not given
to the Minister, no action can be taken by the employer to terminate the
services of those employees. Although an employer provides a notice of
intention to terminate to the employees, the employer must also give the
written notice of termination within the specified time limits. Q. When must an employee whose
employment has been terminated be paid any wages they are owed? A. Within 1 week from the date of
termination, an employee must be paid: ·
all wages owing; ·
all vacation pay owing; and ·
pay in lieu of notice, if applicable. Q. What is pay in lieu of notice? A. Pay in lieu of notice is the
payment of the employee's normal wages if the appropriate written notice
(depending on the employee’s years of service) is not given upon termination. Q. May the vacation period form
part of the notice period? A. Unless both parties agree, the
employer shall not require, nor shall the employee take, vacation as the
notice period. Q. Who is eligible for
Pregnancy Leave? A. A pregnant employee who has been
employed by the same employer for at least 20 consecutive weeks. Q. How much notice of
their intention to take Pregnancy Leave must an employee give to their
employer? A. At least two weeks written notice
must be given. As well, the employee must provide the employer with a
certificate from a medical practitioner stating the estimated birth date. Q. How long can
Pregnancy Leave last? A. Up to 17 weeks of unpaid leave. Q. When does it begin? A. Not earlier than 17 weeks before
the expected birth date. Q. What if the
employee is forced to stop work because of miscarriage or still birth? A. The employee is entitled to 6
weeks leave after still birth or miscarriage. Q. How much notice
does an employee have to give their employer of their intention to return to
work? A. The employee must give the
employer four weeks notice of the date they intend to return to work. Q. What effect does my
being off on unpaid leave have on my entitlement to vacation and other
benefits under The Labour Standards Act? A. The periods of time spent on
unpaid leave are "time out" when it comes to the accumulation of time
for the purposes of vacation entitlement and notice of termination of
employment, etc. Q. Does my employer
have to hold my job for me? A. You should, upon your return to
work, be placed in the same or similar position with the same duties,
benefits and wages that you had prior to taking Pregnancy Leave. Q. Who is eligible for
Parental Leave? A. An employee who has been employed
by the same employer for at least 20 consecutive weeks before becoming the
parent of a child or before having a child come into the employee’s care and
custody for the first time. Q. When does Parental
Leave have to be taken? A. Parental Leave must begin within
35 weeks of the birth of the child or when the child comes into the care and
custody of the parent for the first time. Q. Can I take
Pregnancy Leave, go back to work for a time and then take Parental Leave? A. No. Where an employee takes
Pregnancy Leave the Parental Leave must begin when the Pregnancy Leave ends
unless the child has not come into the care of the parent for the first time. Q. What is the maximum
amount of Parental Leave? A. The maximum Parental Leave
provided by the Act is 35 weeks of unpaid leave. Q. How much notice do
I have to give my employer of my intention to take Parental Leave? A. At least 2 weeks written notice
of the date the leave is to begin. Q. What if I wish to
return to work before the end of the 35 weeks? A. You should give your employer at
least 4 weeks written notice of the date you intend to return to work. Q. Does my employer
have to hold my job for me? A. Upon your return to work, you
should be placed in the same or similar position with the same duties,
benefits and wages that you had prior to taking Parental Leave. Q. What effect does my
being off on parental leave have on my entitlement to vacation and other
benefits under the Labour Standards Act? A. The period of time spent on
parental leave is "time out" when it comes to the accumulation of
time for the purposes of vacation entitlement, notice of termination of
employment and other benefits under the Act. Q. Who is entitled to
Adoption Leave? A. An employee who has been employed
by the employer for at least 20 consecutive weeks. Q. How much notice of
their intention to take Adoption Leave must an employee give? A. Two weeks notice in writing or if
the child comes into their custody sooner than expected, written notice of
having taken Adoption Leave within two weeks of having stopped work. Q. How long can
Adoption Leave last? A. Up to 17 weeks of unpaid leave. Q. Are adoptive
parents entitled to Parental Leave? A. Adoptive parents are entitled to
35 weeks Parental Leave. Q. What if I wish to
return to work earlier? A. The employee must give his or her
employer at least 4 weeks written notice of the date they will be returning
to work. Q. What effect does my
being off on adoption leave have on my entitlement to vacation and other
benefits under The Labour Standards Act? A. The period of time spent on
adoption leave is "time out" when it comes to the accumulation of
time for the purposes of vacation entitlement, notice of termination of
employment or other benefits under the Act. Q. Does my employer
have to hold my job for me? A. Upon your return to work, you
should be placed in the same or similar position with duties, benefits and
wages that you had prior to taking Adoption Leave. Q. Who is entitled to Bereavement
Leave? A. An employee who has been employed
with the same employer for a continuous period of at least 30 days shall be
given 3 days Bereavement Leave consisting of 1 day paid leave
and 2 days unpaid leave. Bereavement Leave must be provided in the event of
the death of the spouse, a child, a grandchild, the mother or father, a
brother or sister, a grandparent or a mother-in-law, father-in-law,
sister-in-law or brother-in-law, son-in-law or daughter-in-law, of the
employee. If an employee has been
employed for less than 30 days, then the employee is entitled to two days of
unpaid leave. An employer shall not
dismiss an employee or give a notice of dismissal to an employee because
he/she is off on Bereavement Leave. The Labour
Standards Act places some restriction on the employment of children under the
age of 16. An employer is prohibited from employing a child who is under 16
in employment that is likely to be unwholesome or harmful to the child's
health or normal development, or if it is going to hamper the child's
attendance at school. Additionally, an employer
shall not employ a child under 16 to work: ·
for more than 8 hours a day ·
for more than 3 hours on a school day ·
on a day for a period that, when added to the time required for
attendance at school on that day, totals more than 8 hours ·
between 10 p.m. of one day and 7 a.m of the
following day ·
in circumstances that would prevent the child from obtaining a rest
period of at least 12 consecutive hours a day ·
in occupations that are prescribed as hazardous ·
an employer shall not employ a child under age 14 unless the work is
prescribed in the regulations under the Act. ·
an employer shall not employ a child while a strike by employees or a
lockout of employees by the employer is in progress. Before employing a person
under the age of 16, an employer must obtain the written consent of the
parent or guardian. This consent must be kept as part of the record of
employment and the age shall be specified in the written consent. Sick/Family Responsibility Leave top Q. Who is entitled to sick/family
responsibility leave? A. An employee who has been employed
with the same employer for a continuous period of 30 days is entitled to 7
days unpaid Sick or Family Responsibility Leave in a year. Q. Does the employee have to
provide a note to the employer for sick leave? A. An employee must provide a note
to his employer signed by a qualified medical practitioner if on sick leave
for three consecutive days or more. Q. Does the employee
have to provide a note to the employer for family responsibility leave? A. An employee must provide a written
statement outlining the nature of the family responsibility leave where the
employee is absent from work for 3 consecutive days or more. Q. What is compassionate care
leave? A. Compassionate Care Leave may
enable an employee to receive up to eight (8) weeks of unpaid leave to
provide care to a family member who has a serious medical condition and a
significant risk of death within a specified 26 week period. Q. Who can take Compassionate
Care Leave? A. Employees under provincial
jurisdiction and employed with the same employer for 30 days qualify for
compassionate care leave. Q. For which of my family members
may I take compassionate care leave? A. An employees may take compassionate leave to care for any of the following family members of the employee: child, wife/husband or co- |
